Technology and its impact on Real Estate

Technology has affected almost every industry nowadays - financial services, transportation, telecommunications, agriculture and much more. Real estate is no exception. Technological innovations in the field of real estate are developing at a rapid pace every year. The new digital real estate services are promising and deserve attention from all investors. The real estate industry is experiencing rapid change and investors need to be prepared for the ways in which electronic property listing platforms, smartphone apps and virtual reality will affect all aspects of real estate transactions. The application of electronic platforms for the purpose of property marketing is a growing trend. All platforms of this profile aim to enable aspiring or existing property owners to buy and sell easily How will technology affect real estate or real estate transactions? We invite you to read the following article.

Construction: Technology has had its undeniable impact on construction methodology. Here we can mention innovations in the quality of construction materials, prefabrication technology, modular buildings and 3D modeling. All these developments directly affect the sale and rental of real estate. The construction of ecological housing has seen a growing trend recently taking into account two factors: (i) technology development and (ii) high environmental pollution. Environmentalists have recently called for protecting the planet from pollution. This has led to some awareness of many individuals for the protection of the planet and the use in everyday life of tools that cause as little environmental pollution. Many construction companies around the world have adapted innovative technologies for the construction of structures intended for habitat or commercial activity. Ecological dwellings have minimal impact on the environment, have an efficient application of electricity and are built with eco-friendly materials and technology.

Smart Home: Investors will double their investment in smarter home appliances that will improve safety and quality of life. A rental property with smart devices will also be more attractive to a stratum of tenants with financial potential. Integrated smart home systems prioritize the efficiency of electricity, water and the use of renewable resources such as sun and wind.

Automation: Automation of processes and tasks will become increasingly popular in the future of real estate. Financial contracts, rent payment and maintenance checks through smart devices are just the beginning as more complex processes like closing and signing are also becoming more automated. Automation is the way to reduce manual labor and let technology do more for you. Automation will significantly reduce process time and keep you up to date with the market and your competitors. From the marketing process, to the contact with the client, the signing of the contract with the client and the payment made to the service provided, everything belongs to a technological and automatic future.

Blockchain is a new technological tool that can serve to transparently and securely store a lot of data on online transactions targeting digital real estate. This technological innovation will reduce the need for traditional intermediaries in the future. [1] BCHT enables transactions to be stored by a network of computer units (computer nodes). The BCHT is designed to allow individuals who own property to perform digital transactions in person. Transactions, once verified, are placed in a block which is added to other blocks of information in the block chain. High value real estate trading has not been used before through digital channels. Blockchain technology has changed the old traditional method by introducing intelligent contracts on blockchain platforms and already allowing real estate trading in the virtual world. For example the interactive electronic platform in Palto Alto California, Propy applies blockchain technology to conduct international transactions. The above platform enables buyers, sellers and agents to use smart contracts that help speed up the real estate intermediation process, something that is usually restricted by international law.

Digital Real Estate Listings: If you are looking for a home or business location for rent, you can easily find it in dedicated online real estate listings. There is less and less of a declining trend in listings in print newspapers or magazines dedicated to real estate. Advances in technology have made it possible for individuals not to spend too much time finding the right property for them as with a Advanced search and keyword placement, lists only display properties that intersect with their query. With all the information already available online, it remains only to contact the seller.

Virtual Reality: Showcases are the standard places for buyers who want to see the property up close. However, for those who cannot reach it, sellers, brokers or agents can use companies that offer virtual real estate guides. Virtual reality travel also eliminates the need for agents to be present. The virtual solution allows a 360-degree view of the property. This gives the potential buyer a preview before booking an appointment to see the property up close. Most buyers will want to make a physical visit to the property before making a final decision, but it saves time and money for the client and the real estate agent in determining the client's quickest fit with the property. Moreover, today VR technologies allow almost realistic home tours where you can easily examine the condition of the property, interior details and furniture. Under these conditions, the buyer knows what to expect and would be more interested in seeing the property up close. [2]

Digital real estate marketing: The real estate business is growing steadily from social media marketing. Any company can create a business site where they can market their properties. This engages potential clients to give their opinions or asking questions about the services provided. Real estate agents and brokers can harness the power of social media to conduct marketing campaigns at any time as it is a cost effective way to increase the potential of buyers.

Emerging technologies are empowering consumers and radically changing the way properties are bought and sold. Undoubtedly these transformative technological developments pose an open challenge to the traditional model of intermediation. It is increasingly heading towards a predominantly technological era in which real estate buyers and sellers are relying heavily on intelligence-driven real estate services artificial, making it possible to overshadow real estate agents. Real estate agents will need to adapt to new technology-centric real estate trends in order to stay competitive. But what are the steps a real estate agent should consider in order not to go out of business?

I. Be fast and flexible in adapting to the latest technology;

II. Increasing the volume of transactions to balance the downward trend of commissions;

III. Maximum focus on the client and providing the perfect experience;

conclusions

The galloping evolution of technology is frantically changing the way we do business in the real estate industry. Technology covers most of the real estate industry design, financing, construction and marketing. Today there are many solutions that offer convenience for both property sellers and buyers. These solutions are cost effective and offer entities the opportunity to connect to a level that was impossible decades ago. It also allows companies to build direct relationships with the general public. Virtual reality is automating the entire process of completing a transaction by leaps and bounds. make payments automatically. Technology is advancing to those levels that enable individuals who are interested in a property to view virtually every detail without being physically present. We are moving towards a predominantly technological era in which real estate buyers and sellers will rely heavily on artificial intelligence-driven services which brings Real Estate Agents an increased need to be vigilant about transformational changes in the industry, in order to adapt of their services with the step and requirements of the time.

[1] https://www.fool.com/millionacres/real-estate-market/what-does-the-future-of-real-estate-look-like-for-investors/

[2] https://www.softermii.com/blog/technologies-in-real-estate-proptech-trends-the-changing-industry